FHA Loan Calculator
Calculate your FHA loan payment with accurate MIP calculations. Understand the true cost of your FHA mortgage including upfront and annual mortgage insurance premiums.
Quick Answer
What will my FHA loan payment be?
FHA loans require both upfront MIP (1.75% of loan) and annual MIP (0.15%-0.75%). With 3.5% down, expect to pay MIP for the life of the loan. For a $350,000 home with 3.5% down at 6.5% interest, your monthly payment is approximately $2,550 (including taxes and insurance).
Calculate your exact FHA payment and see MIP breakdown for your scenario.
Key Takeaways
- Lower down payment - FHA requires only 3.5% down (vs 20% conventional), making homeownership more accessible
- Two types of MIP - Upfront MIP (1.75% financed into loan) + Annual MIP (0.15%-0.75% paid monthly)
- Credit flexibility - FHA accepts scores as low as 500 (with 10% down) or 580+ (with 3.5% down)
- MIP duration matters - Put 10%+ down to remove MIP after 11 years; less than 10% means MIP for life of loan
- 2026 loan limits - Floor: $541,287 (low-cost areas), Ceiling: $1,249,125 (high-cost areas)
Enter your FHA loan details above and click Calculate FHA Payment to see your monthly payment with MIP breakdown.
Payment Projections
Monthly Payment Breakdown
Understanding FHA Loans and MIP
What is an FHA Loan?
FHA loans are government-backed mortgages designed to help first-time homebuyers and those with lower credit scores achieve homeownership. They require only 3.5% down payment (with 580+ credit) and have more flexible qualification requirements than conventional loans.
What is FHA MIP?
FHA Mortgage Insurance Premium (MIP) has two components:
- Upfront MIP: 1.75% of base loan, usually financed
- Annual MIP: 0.15%-0.75% paid monthly
FHA vs Conventional PMI
Unlike conventional PMI which can be removed at 20% equity:
- Less than 10% down = MIP for life of loan
- 10%+ down = MIP removed after 11 years
- Only way to remove earlier: refinance to conventional
Credit Score Requirements
FHA loans are more flexible than conventional:
- 500-579: 10% down payment minimum
- 580+: 3.5% down payment minimum
- Higher scores may qualify for better rates
Frequently Asked Questions
FHA MIP is insurance that protects the lender if you default. It has two parts: Upfront MIP (1.75% of the loan, usually financed) and Annual MIP (0.15%-0.75% of the loan, paid monthly). Unlike conventional PMI, FHA MIP is required regardless of down payment amount.
If your down payment is less than 10%, you pay MIP for the life of the loan. If your down payment is 10% or more, MIP can be removed after 11 years of payments. The only way to eliminate FHA MIP earlier is to refinance to a conventional loan once you have enough equity.
FHA loans accept credit scores as low as 500. With a score of 580 or higher, you need only 3.5% down. With a score of 500-579, you need 10% down. Some lenders may have higher minimum score requirements (often 580-620), so shop around.
For 2026, the FHA loan limit floor (low-cost areas) is $541,287 and the ceiling (high-cost areas) is $1,249,125. Actual limits vary by county - check HUD's website for your specific county limit.
Most borrowers finance the 1.75% upfront MIP into their loan to reduce cash needed at closing. However, this increases your loan balance and total interest paid. If you have the cash, paying it upfront saves money long-term. Consider your cash reserves and long-term plans before deciding.
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Official Sources
- HUD FHA Loan Limits 2026 - Official FHA loan limit information by county.
- HUD FHA Lender Resources and MIP Information - Official MIP rates and guidelines.
- CFPB: Understanding Mortgage Insurance - Consumer guide to mortgage insurance.
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